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Oregon special session: How changes will affect you

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Oregon Gov. John Kitzhaber spoke to a second-grade class in Salem on Sept. 26 to underscore that changes resulting from the Legislature's special session would help students by generating money for schools. The Legislature approved the package of changes that Kitzhaber helped engineer during a session that ran Sept. 30 through Oct. 2.
(Jonathan J. Cooper/The Associated Press)

Here's a rundown of results from the Oregon Legislature's special session, which ended Wednesday, and how they'll affect various groups and businesses.

Smokers: The tax on a pack of cigarettes will rise 13 cents a pack in this budget cycle, by 14 cents in 2015-17 and by 15 cents in 2017-19. Per-pack taxes in Oregon (including state and federal taxes) now total $2.32.

PERS recipients: Cost-of-living allowances will drop to 1.25 percent on annual benefits up to $60,000, and 0.15 percent on benefits higher than that. The bill requires a 0.25 percent supplementary payment, capped at $150; those who get less than $20,000 will get an additional 0.25 percent payment. Salary increases in lieu of insurance coverage won’t count in calculating a recipient’s benefits. Some convicted felons could lose benefits.

Future legislators: They won’t get to join PERS but will get a new system instead.

Taxpayers: No more $183 personal exemption credit for single filers with adjusted gross income of $100,000 or more, or joint filers with $200,000 or more. Oregon’s earned income tax credit rises from 6 percent of the federal credit to 8 percent.

Seniors: An additional $41 million will go to services. And beginning in 2014, tax filers 63 and older with less than $100,000 gross adjusted income, or less than $200,000 for joint filers, can subtract rather than deduct medical expenses. Amounts range from $1,000 to $1,800 per individual, depending on income. Age of eligibility will rise to 64 in 2016, 65 in 2018 and 66 in 2020.

Small businesses:Three types get a tax break. Partnerships, limited liability companies and "S corporations" (all of which can include professionals such as doctors and lawyers) will pay new rates ranging from 7 percent for income below $250,000 to 9.9 percent for income greater than $5 million.

Corporations: They’ll see taxes rise, paying the top 7.6% rate on income of $1 million or more.

Schools: Revenue from higher taxes will generate $100 million for schools in the 2014-15 school year. Most districts plan to add back days or hire teachers to reduce class sizes. The PERS changes are expected to save districts at least $70 million a year in the future.

People with mental health concerns: The extra cigarette tax will put $20 million into mental health programs.

College students: About $40 million will go toward holding tuition increases in check.

Drivers: The CRC didn’t come up in this special session, despite talk that it could. For now, whether another special session is held to revive the bridge project is up in the air.